[Protest of Army Contract Award for Weapon Systems Analysis]

B-278793: Mar 16, 1998

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A firm protested an Army contract award for support services, contending that the Army improperly adjusted its cost by using a higher overhead rate than originally proposed, and that the Army's most probable cost evaluation was flawed. GAO held that: (1) in conducting the cost analysis, the Army reasonably applied the protester's overhead rate from its predecessor contract, since the protester's bid failed to adequately support the newly proposed rates; and (2) the Army determined that the lower cost associated with the protester's bid did not outweigh the technical superiority of the awardee's proposal. Accordingly, the protest was denied.

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